Hi everybody,
I just wanted to ask a question re lots, I’ve used the baby pips position size calculator which tells me based on my account balance, stop loss etc than I can trade 0.5 or 0.50 or 0.05, I want to trade the 5 mini lots - does it make any difference if you place one trade of 0.5 or is it better / safer in any way to place 5 trades of 0.1? What does everybody else do?
Thanks
Rebecca
PS I know they all add up to the same amount regardless of whichever lot size you trade but obviously the micro or mini lots are not as ‘balance damaging’ should it go against you
“0.5” and “0.50” are the same thing.
“0.05” is a tenth of each.
I know that you already know that half a lot, 5 mini-lots and 50 micro-lots are the same thing, but there’s a typo in there somewhere, as well as some confused thinking.
Yes. It makes a difference. One takes 5 times as long to do as the other, and is inadvisable for that reason alone.
They do one trade, of 5 mini-lots.
This is wrong. They’re both exactly the same size and therefore they damage your account equally.
I can see that you’ve misunderstood something at a fundamental level, but I can’t identify exactly what, and therefore there’s a limit to how much my reply can help you. Sorry.
Thankyou, yep you’re right, definitely some confused thinking when I just read that back, so basically it doesn’t make any difference whatsoever and I should make it just the one trade as opposed to breaking it down into smaller trades as the outcome is the same regardless
Unless you’re building into a position at various price levels then keep to the one trade, as said above. No need to over complicate.
Your question was right though regarding either:
0.5 standard lots
5.0 mini lots
51.0 micro lots (not 50 due to rounding)
All of which are the same value/notional size.